According to a translation from The Next Web, Schiller said, "At first, non-smartphones were popular in the Chinese market, now cheap smartphones are more popular and non-smartphones are out ... Despite the popularity of cheap smartphones, this will never be the future of Apple’s products. In fact, although Apple’s market share of smartphones is just about 20%, we own the 75% of the profit."

It's a provocative comment, but it doesn't shoot down reports of Apple doing a cheaper iPhone. Apple's future is going to be making premium products. But that doesn't mean it won't produce a product that is in the low-end to capture more of the market.